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How much must your employer borrow to end up with the

Your employer needs to borrow $550,000 to finance inventory for the upcoming seasonal rush. BIG Bank has offered to finance the inventory at 8% provided that your employer keeps a compensating balance in its operating account of 8%. How much must your employer borrow to end up with the $550,000?

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Finance Basics: How much must your employer borrow to end up with the

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